Free cash flow remains highly unstable, swinging to a negative 18985.9% margin in 2026Q1, while the company paradoxically engaged in $76.2 million of share repurchases despite its liquidity constraints.
| Cash from Operations | -45.75B | -33.01M | -110.04M | -118.3M | 144.11M | -192.45M | -151.4M | -81.85M | 24.18M | 219K | -35.25M | -22.17M | -7.02M |
| Operating CF Margin % | - | -31.15% | -144.22% | -155.64% | 34.94% | -721.33% | -388.7% | -277.05% | 45.6% | 0.42% | -320.16% | -229.5% | -420.12% |
| Operating CF Growth % | -1341995.41% | 70.01% | 6.98% | -182.09% | 174.88% | -27.11% | -84.97% | -438.56% | 10939.73% | 100.62% | -58.98% | -215.99% | - |
| Net Income | -102.66M | -81.13M | -122.69M | -118.67M | 124.34M | -211.84M | -180.55M | -145.44M | -36.56M | -10.41M | -33.81M | -19.17M | -12.94M |
| Depreciation & Amortization | 1.15B | 10.79M | 11.19M | 17.3M | 12M | 9.58M | 10.28M | 7.33M | 3.63M | 2.74M | 1.02M | 494K | 412K |
| Stock-Based Compensation | 6.94B | 28.03M | 17.79M | 8.1M | 4.01M | 10.76M | 29.12M | 49M | 13.44M | 3.43M | 4.29M | 1.39M | 574K |
| Deferred Taxes | -2.2B | 945K | 691K | -757K | 1.94M | -953K | 266K | -726K | -17K | 15K | -5.5M | 16K | 0 |
| Other Non-Cash Items | -7.41B | 848K | 13.93M | 1.27M | -2.21M | -387K | -364K | 1.54M | 3.75M | 2.66M | 1.12M | -5.06M | 293K |
| Working Capital Changes | -13.15M | 7.5M | -30.95M | -25.55M | 4.01M | 393K | -10.15M | 6.44M | 39.92M | 1.78M | -2.37M | -4.9M | 4.65M |
| Change in Receivables | 19.65M | 51.2M | -36.36M | 13.92M | -17.51M | -266K | -13.11M | -1.83M | -119K | 2.41M | -592K | -1.36M | -279K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -111K | 0 | 0 | 1.56M | -332K |
| Change in Payables | -9.85M | -23.65M | 14.34M | -44.77M | 26.48M | 16.48M | 7.62M | 21.57M | 3.68M | -358K | 1.93M | 2.42M | -1.74M |
| Cash from Investing | 69.97B | 26.66M | 38.76M | -207.25M | -53.85M | 144.6M | -43.44M | -25.59M | -109.05M | -30.89M | -25.45M | -9.2M | -281K |
| Capital Expenditures | -1.84M | -2.35M | -1.99M | -2.47M | -13.13M | -12.4M | -6.26M | -6.32M | -3.42M | -3.12M | -5.46M | -853K | -281K |
| CapEx % of Revenue | 2.26% | 2.22% | 2.61% | 3.25% | 3.18% | 46.49% | 16.08% | 21.4% | 6.45% | 6.03% | 49.63% | 8.83% | 16.83% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 1.96M | 0 | 0 | 0 | 78K | -4.04M | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 69.89B | 0 | -1.07M | -1.6M | 40.72M | -881K | -1.96M | -7.56M | -105.63M | -27.77M | -19.99M | -4.31M | -201K |
| Cash from Financing | 178.77B | -18.56M | -20.45M | 81.85M | 108.58M | 8.01M | 308.98M | 193.66M | 91.43M | 49.95M | 64.78M | 1.52M | 46.39M |
| Debt Issued (Net) | 245.61M | 0 | -14K | -21K | -14K | -17K | -41K | -16K | -11K | -7.82M | 6.95M | -4K | -9K |
| Equity Issued (Net) | -84.09M | -18.38M | -30.05M | 76.09M | 107.53M | 0 | 300.91M | 188.23M | 90.75M | 55.79M | 58.86M | 1.75M | 46.34M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -101.47M | -41.7M | -30.05M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 178.6B | -181K | 9.61M | 5.77M | 1.06M | 8.03M | 8.11M | 5.45M | 690K | 1.98M | -1.03M | -232K | 55K |
| Net Change in Cash | 203.09B | -24.95M | -91.45M | -243.35M | 199.04M | -40.17M | 113.58M | 86.25M | 6.26M | 19.51M | 4.92M | -35.32M | 37.85M |
| Free Cash Flow | -45.75B | -34.53M | -113.11M | -122.38M | 130.98M | -205.74M | -157.67M | -95.73M | 20.76M | -2.9M | -40.71M | -23.02M | -7.3M |
| FCF Margin % | -56297.68% | -32.58% | -148.24% | -161% | 31.76% | -771.12% | -404.79% | -324.03% | 39.15% | -5.61% | -369.79% | -238.33% | -436.95% |
| FCF Growth % | -58159.92% | 69.48% | 7.57% | -193.43% | 163.67% | -30.49% | -64.7% | -561.2% | 815.27% | 92.87% | -76.82% | -215.51% | - |
| FCF per Share | -612.48 | -0.46 | -1.49 | -1.78 | 2.01 | -3.95 | -3.13 | -2.52 | 0.71 | -0.14 | -2.07 | -1.16 | -0.37 |
| FCF Conversion (FCF/Net Income) | 445.66x | 0.41x | 0.90x | 1.00x | 1.16x | 0.91x | 0.84x | 0.56x | -0.66x | -0.02x | 1.04x | 1.16x | 0.54x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 856K | 0 | 3.18M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Imminent liquidity and dilution
Based on reported financial data, ZYME exhibits a highly erratic relationship between net income and operating cash flow, with the OCF/NI ratio reaching an extreme 1035.23 in 2026Q1, suggesting that reported earnings provide little insight into the company's actual cash-based operational performance or sustainability.
The massive divergence between net income and operating cash flow indicates that non-cash items and working capital swings are the primary drivers of the company's financial reporting. Investors should interpret this disconnect as a sign that traditional profitability metrics are currently irrelevant to the company's survival, as cash burn remains the only meaningful indicator of operational health.
As reported in recent financial statements, ZYME's free cash flow trajectory is characterized by extreme volatility, with margins swinging from a positive 72.1% in 2023Q4 to a deeply negative 18985.9% in 2026Q1, reflecting the company's total dependence on lumpy, non-recurring milestone payments for liquidity.
The inability to generate consistent positive free cash flow suggests that the company remains in a high-risk development phase where cash outflows are dictated by clinical trial schedules rather than operational efficiency. This trajectory implies that the business model is not yet self-funding and remains entirely reliant on external capital or partnership inflows.
According to quarterly filings, ZYME's working capital movements are highly inconsistent, with a significant $10.9 million outflow in 2026Q1 following a $18.6 million inflow in 2025Q4, indicating that timing differences in milestone receipts and clinical expenses are creating substantial noise in the cash flow statement.
These fluctuations suggest that management's cash position is highly sensitive to the timing of collaboration-related payments, which can temporarily mask the underlying structural burn rate. Analysts should monitor these swings closely, as they may provide a false sense of liquidity during periods where milestone payments are recognized but not yet fully realized in cash.
Based on recent cash flow statements, ZYME has engaged in share repurchases totaling $76.2 million in 2026Q1 despite a precarious cash position, a decision that appears counterintuitive given the company's high operating losses and the urgent need for capital to fund ongoing clinical development.
This deployment strategy warrants further investigation, as prioritizing share buybacks while the company is actively burning cash suggests a potential misalignment between capital allocation and the immediate liquidity requirements of the business. Such actions may indicate that management is attempting to support the stock price at the expense of the company's long-term operational runway.
Quick answers to the most common questions about buying ZYME stock.
Zymeworks Inc. (ZYME) generated $-33.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Zymeworks Inc. (ZYME) reported negative free cash flow of $34.5M in 2025, indicating capital requirements exceeded cash from operations.
Zymeworks Inc. (ZYME) spent $2.4M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Zymeworks Inc. (ZYME) spent $41.7M on share repurchases. This shows the company's commitment to returning capital to its equity investors.